Carnival Co. uses aging of accounts receivable method. At the end of year 2011, Carnival estimated that it needed $500,000 in allowance for doubtful account. Carnival had a previous credit balance of $100,000 in allowance for doubtful account from 2010. What should be the bad debt expense for 2011?

Question 18 options:

	$500,000
	$600,000
	$400,000
	$900,000